Effective January 1, 2022, where a hotel or hotel operator contracts with a marketplace facilitator to offer hotel rooms, the marketplace facilitator is responsible to collect and remit tax when it meets the state’s economic nexus requirements.
The Illinois Supreme Court held that the City of Chicago’s ruling to require rental car companies located within three miles of the City to collect tax is unconstitutional under the home rule article of the Illinois Constitution.
Peer-to-peer (PTP) vehicle sharing platforms will be obligated to collect the tax on behalf of the owners if it meets the marketplace facilitator thresholds in Virginia ($100,000 in annual revenue or 200 transactions)
The Missouri Supreme Court held a taxpayer could not rely on prior “sale for resale” cases which were decided based on the Court’s own “tangled analysis”. Here, the Court affirmed that the sale of room furnishings to a hotel company were not exempt under the state’s sales tax resale exemption.
Effective January 22, 2019, a booking agent that facilitates the short-term booking of an occupancy on behalf of a hotel operator located in Pennsylvania must now collect and remit hotel occupancy tax on the rent collected.
Effective July 1, 2017, Illinois enacted an exemption from the Hotel Operators’ Occupation Tax for religious organizations renting, leasing, or letting rooms in furtherance of the purposes for which they are organized.